NBK agency banking to ride on Posta network

November 4, 2014

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By MARGARET WAHITO, NBK customers will be able to make cash deposits and withdrawals of up to Sh1 million, obtain mini-statements, make balance enquiries, make school fees payments among other agency banking services/fileNAIROBI, Kenya, Nov 4 – National Bank of Kenya has signed a strategic partnership with the Postal Corporation of Kenya that will see the bank ride on its infrastructure by providing agency banking services in all 470 Posta outlets.

Through the partnership, NBK customers will be able to make cash deposits and withdrawals of up to Sh1 million, obtain mini-statements, make balance enquiries, make school fees payments among other agency banking services.

Speaking during the launch, NBK Managing Director Munir Sheikh Ahmed said the move was in tandem with the bank’s growth strategy aimed at making it a tier 1 bank by the year 2017.

“We have a strategic objective of hitting 3.5 million customers by 2017. That means we need to acquire an additional 2.4 million customers. So physical distribution obviously aids in this by making us available in areas that we would not be able to reach,” Ahmed said.

Posta has invested over Sh120 million in its infrastructure upgrade to host not only National Bank of Kenya services but other financial institutions which have already expressed interest in using the Posta distribution network.

“What we get from here is that when you ride on our infrastructure then you are able to give us some form of compensation. We expect that by these partnerships like the one we have with National Bank, will help us recoup on this investment,” Postmaster General Enock Kinara said.

Recently, NBK announced strategic partnerships with Kenswitch, the national payments switch provider, and Postbank, as it moves to enhance its distribution networks across the country.

The new partnerships now provide all NBK customers access to 1,200 Kenswitch’s ATMs services across East and Central Africa and also provision of agency banking services at the 99 Postbank branches and 800 Postbank Mashinani Agents countrywide.

With National Bank already having 74 branches, 125 ATMs and 110 agents across the country, the deal with PCK now takes National Bank cash access points in the region to 74 branches, 1,539 agents and 1,325 ATMs.

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MARGARET WAHITO Margaret has been a business reporter for the past four years. She holds a Bachelors of Science degree in Communications and Public Relations from Moi University. She also holds a diploma in Film and